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N.J. senator Cory Booker aims to strip pro leagues of tax-exempt status

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TheDemSocialist

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Sen. Cory Booker (D-N.J.) has introduced legislation to strip several professional sports leagues, including the NFL, of their tax-exempt status.The bill, which is called the Securing Assistance for Victim Empowerment (SAVE) Act, seeks to raise $100 million over 10 years for domestic violence assistance programs.
The NFL's handling of domestic violence has come under intense scrutiny in light of multiple high-profile cases involving players, including Ray Rice, Ray McDonaldand Greg Hardy.


The NFL gained tax-exempt status as a nonprofit in 1944. A designation in the tax code -- 501(c)(6) -- enables the league to function like a trade organization. The league office is not required to pay taxes but individual teams are.
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Read more @: N.J. senator Cory Booker aims to strip pro leagues of tax-exempt status

I always thought it was ridiculous that the NFL had tax exempt status. This is a bill I can stand behind. They should have to pay taxes just like the teams.
 
Sen. Booker is also working with Gov. Christie to block the NFL's attempt to stop sports-betting in New Jersey, an absolute necessity for the survival of the remaining NJ casinos--as NFL betting is 70% of Vegas take all year .
 
N.J. senator Cory Booker aims to strip pro leagues of tax-exempt status
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it won't happen, but good. the leagues should not be exempt.
 
TheDemSocialist said:
Read more @: N.J. senator Cory Booker aims to strip pro leagues of tax-exempt status

I always thought it was ridiculous that the NFL had tax exempt status. This is a bill I can stand behind. They should have to pay taxes just like the teams.
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NFL Players are NOT tax exempt. I know this because back when the Superbowl happened, there was an article on Forbes talking about the exorbitant taxes that players had to pay for playing in NJ. I'll look it up later, but I know that Peyton Manning basically had to forfeit his entire check for playing in the SB because of the taxes there.

New Jersey Taxes Could Eat Up All Of Peyton Manning's Super Bowl Earnings

From the Article:

Because the Broncos play at the Jets next season, Manning’s effective New Jersey tax rate will be more in line with the state’s tax table. He will pay roughly $60,414 if they win the Super Bowl and $60,229 if they lose based on allocable income of $682,065 or $679,995 (9/200 x total 2014 calendar-year pay). However, if the Super Bowl were held anywhere other than New Jersey, he would only be paying them $13,425 or $13,384 for his 2014 game against the Jets.
 
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Ikari said:
I love football....but how the hell are they tax exempt?
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They are, and they aren't. Each team isn't tax exempt, but the league office is, as it was established as a trade organization, just like the ABA and AMA.

I don't think the actual league office makes money in any capacity to be taxed.

In other words, Cory Booker is looking to score points.
 
Samhain said:
They are, and they aren't. Each team isn't tax exempt, but the league office is, as it was established as a trade organization, just like the ABA and AMA.

I don't think the actual league office makes money in any capacity to be taxed.

In other words, Cory Booker is looking to score points.
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Yeah and the NCAA doesn't make any money either.
 
Ikari said:
Yeah and the NCAA doesn't make any money either.
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According to the IRS filing for 2013
Total Revenue
$326,882,787

Total Expenses
$317,886,748


They lost 52 million and 77 million in 2011 & 2012.
 
Ikari said:
Yeah and the NCAA doesn't make any money either.
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Samhain said:
They are, and they aren't. Each team isn't tax exempt, but the league office is, as it was established as a trade organization, just like the ABA and AMA.

I don't think the actual league office makes money in any capacity to be taxed.

In other words, Cory Booker is looking to score points.
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So who is it then that is paying the executives? For example, I know Roger Goddell made 44 million dollars last year.
 
Samhain said:
According to the IRS filing for 2013
Total Revenue
$326,882,787

Total Expenses
$317,886,748


They lost 52 million and 77 million in 2011 & 2012.
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mmm yes, "lost". That's why they can continue to do business, by loosing multimillions of dollars.

Something is rotten in the state of Denmark.
 
TheDemSocialist said:
Read more @: N.J. senator Cory Booker aims to strip pro leagues of tax-exempt status

I always thought it was ridiculous that the NFL had tax exempt status. This is a bill I can stand behind. They should have to pay taxes just like the teams.
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First off, it's highly unlikely that the NFL will pay any tax. If they're operating at any significant profit level then they're doing it wrong. Actually, I just checked and their financials for 2010 are here - Scribd - they wouldn't be paying any taxes.

Secondly, if you're going to make the NFL a taxable entity then you damned well better be doing everything you can to make trade unions and lobbying organizations taxable too.
 
Lutherf said:
First off, it's highly unlikely that the NFL will pay any tax. If they're operating at any significant profit level then they're doing it wrong. Actually, I just checked and their financials for 2010 are here - Scribd - they wouldn't be paying any taxes.

Secondly, if you're going to make the NFL a taxable entity then you damned well better be doing everything you can to make trade unions and lobbying organizations taxable too.
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So back when the NFL made that deal with former players, to the tune of some hundreds of millions of dollars, if the NFL isn't paying it, is the Owners then?
 
tres borrachos said:
I also think they shouldn't get tax exempt status,
but I wish they would focus on more important issues in the Senate.
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Such as Mitch McConnell not filibustering women in pay equity?
Whatever happend to the Sen. McConnell who demanded straight-up-and-down votes when the GOP was in control last decade?

But the GOP did allow enough debate until it was too late to vote on minimum wage and Hobby Lobby.
Then they filibustered America's women.
Why does the potential future Majority Leader continue to play these games with America's women ?
 
Hamster Buddha said:
So back when the NFL made that deal with former players, to the tune of some hundreds of millions of dollars, if the NFL isn't paying it, is the Owners then?
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The league office makes the payments, but their revenue comes from the teams, whose revenue comes from fans, so I guess it depends on how many layers you are looking to penetrate.
 
Hamster Buddha said:
So back when the NFL made that deal with former players, to the tune of some hundreds of millions of dollars, if the NFL isn't paying it, is the Owners then?
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If you look at the financials you will see that the primary function of the NFL is to facilitate financing for stadiums and to secure media contracts. They are not operating in a "for profit" manner as the purpose of the organization is to make member organizations (which are taxable entities) more profitable.
 
Lutherf said:
First off, it's highly unlikely that the NFL will pay any tax. If they're operating at any significant profit level then they're doing it wrong. Actually, I just checked and their financials for 2010 are here - Scribd - they wouldn't be paying any taxes.

Secondly, if you're going to make the NFL a taxable entity then you damned well better be doing everything you can to make trade unions and lobbying organizations taxable too.
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I'd also be fine with that, but I think our politicians won't touch that.
 
NIMBY said:
Such as Mitch McConnell not filibustering women in pay equity?
Whatever happend to the Sen. McConnell who demanded straight-up-and-down votes when the GOP was in control last decade?

But the GOP did allow enough debate until it was too late to vote on minimum wage and Hobby Lobby.
Then they filibustered America's women.
Why does the potential future Majority Leader continue to play these games with America's women ?
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Do you have to apply your own tangent to every topic? This is about sports leagues and their tax exempt status as trade groups.
 
Lutherf said:
Politicians tend to do things for political reasons, not economic ones.
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Sometimes both.

I'm looking at the information you provided and maybe need to rethink my idea that they should not be tax exempt. What they do is certainly not as cut and dry now that I'm seeing their financials.
 
tres borrachos said:
I also think they shouldn't get tax exempt status, but I wish they would focus on more important issues in the Senate.
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I agree, but on the other hand, passing this bill would create a new source income that could make it easier to focus on those more important issues.
 
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